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More Price increases…..

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Looks like in addition to the Y and 3 increases, the Model S LR went up 5000 to 95000. I suspect another 5000 by the end of the year to close the gap to the plaid.
 

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Prices of everything are going up, caused by a combination of shot supplies due to COVID, and the billions of free money given out for free as part of COVID relief. Money by itself if worthless, unless there are goods you can exchange it for. If the number of available goods and services shrinks, but money supply grows, money becomes worth less, i.e. price goes up. It's called inflation.
 
Prices of everything are going up, caused by a combination of shot supplies due to COVID, and the billions of free money given out for free as part of COVID relief. Money by itself if worthless, unless there are goods you can exchange it for. If the number of available goods and services shrinks, but money supply grows, money becomes worth less, i.e. price goes up. It's called inflation.
I’m sure inflation is a small part of it, in my opinion this is Tesla trying to get every dollar they can while they can.
Tesla pricing is a roller coaster, demand is up, price goes up. Demand slows, price drops.
 
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I’m sure inflation is a small part of it, in my opinion this is Tesla trying to get every dollar they can while they can.
Tesla pricing is a roller coaster, demand is up, price goes up. Demand slows, price drops.
Agreed. They clearly can’t make as many cars as they want to due to supply chain problems. Less supply, high demand, orders booked into the latter half of next year == make hay while you can.
 
I’m sure inflation is a small part of it, in my opinion this is Tesla trying to get every dollar they can while they can.
Tesla pricing is a roller coaster, demand is up, price goes up. Demand slows, price drops.
As they should, a good business practice. That said, the car (both new and used) has experienced more average inflation that Tesla price increases since 2019, so I would think most if not all of the increases are caused by this. I don't think there is an increased demand for Teslas, other than the backlog caused by short supply. I actually think with all the new EV's coming out from the competition, Tesla lost some of the market share.
 
Prices of everything are going up, caused by a combination of shot supplies due to COVID, and the billions of free money given out for free as part of COVID relief. Money by itself if worthless, unless there are goods you can exchange it for. If the number of available goods and services shrinks, but money supply grows, money becomes worth less, i.e. price goes up. It's called inflation.

Yeah - but to go up $15k over refresh pricing? That is called taking advantage of the supply constraints. No other car manufacturer is doing that. Will end up biting Tesla eventually. Great for owners who got in on refresh pricing though. If Tesla keeps raising pricing like this, then people with stick with ICE cars. EV cars are not worth it at this price, unless you are buying for other reasons than EV.
 
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Yeah - but to go up $15k over refresh pricing? That is called taking advantage of the supply constraints. No other car manufacturer is doing that. Will end up biting Tesla eventually. Great for owners who got in on refresh pricing though. If Tesla keeps raising pricing like this, then people with stick with ICE cars. EV cars are not worth it at this price, unless you are buying for other reasons than EV.

I wouldn't necessarily say that no other car manufacturers are doing it, they may just be doing it in different ways. For the most part, when Tesla adjust prices up or down it is by changing the MSRP or retail price. When other manufacturers adjust prices, it may be by changing the MSRP but also by increasing or decreasing rebates/incentives. If a car had an MSRP of $85k with $7k in rebates and 0% financing but now has an $88k MSRP and no rebates and no discount financing, that amounts to a significant incerase even though the MSRP only went up $3k or 3.5%.

According to KBB, the average transaction price of GM products between September 2020 and September 2021 is up around 21.6% and I think a fair amount of that can be attributed to MSRP increases and especially reduced incentives. The price increase for the new/refresh MS is about 18.5%.

The overall automotive market will eventually correct itself but it may still take some time. Unless someone NEEDS a car, this probably isn't the best time to be buying a car. Same goes for real estate.
 
Yeah - but to go up $15k over refresh pricing?
That is called taking advantage of the supply constraints. No other car manufacturer is doing that.
You don’t think other manufacturers are selling cars for ~20% more than they were a year ago? Lol, come on.

They just use different, more consumer-opaque levers for mid-year pricing adjustments like rebates, financing deals, dealer holdbacks, etc.

If Tesla keeps raising pricing like this, then people with stick with ICE cars. EV cars are not worth it at this price, unless you are buying for other reasons than EV.
Everyone buying a car for $80-150k is buying it for “reasons other than EV”. Model S is priced similarly to its direct competitors.
 
Yeah - but to go up $15k over refresh pricing? That is called taking advantage of the supply constraints. No other car manufacturer is doing that. Will end up biting Tesla eventually. Great for owners who got in on refresh pricing though. If Tesla keeps raising pricing like this, then people with stick with ICE cars. EV cars are not worth it at this price, unless you are buying for other reasons than EV.

Of course they all are, but only Telsa publishes the actual sales price online so it's visible. Going into a dealership to buy another manufacturer's vehicle you'll find no more incentive programs and a lack of negotiation power raising the sales price on all vehicles considerably. At this point, it's not about convincing people to buy a Tesla - delivery dates are well into next year.
 
You don’t think other manufacturers are selling cars for ~20% more than they were a year ago? Lol, come on.

They just use different, more consumer-opaque levers for mid-year pricing adjustments like rebates, financing deals, dealer holdbacks, etc.


Everyone buying a car for $80-150k is buying it for “reasons other than EV”. Model S is priced similarly to its direct competitors.
This. My 2021 Yukon XL is worth more than sticker right now with 18,000mi on it due to chip shortages. Not only is inventory low on the vehicle, my vehicle has features on it that the manufacturer can not currently offer due to those certain chips or parts being unobtanium. I can drive it to my dealer any day I please and get MSRP for it and they will flip it for $5-10k more themselves. They told me I’d most likely be able to drive it for a year and easily sell it for what I paid for it. So far that estimate has been low…
 
This. My 2021 Yukon XL is worth more than sticker right now with 18,000mi on it due to chip shortages. Not only is inventory low on the vehicle, my vehicle has features on it that the manufacturer can not currently offer due to those certain chips or parts being unobtanium. I can drive it to my dealer any day I please and get MSRP for it and they will flip it for $5-10k more themselves. They told me I’d most likely be able to drive it for a year and easily sell it for what I paid for it. So far that estimate has been low…
Same. We bought a Chrysler Pacifica Hybrid in October 2020 for $11,000 below sticker (and then another $12k in tax credits and state rebates on top of that), financed at 0% for 5 years.

As of today, TrueCar says a new 2021 of similar config is selling for an average of $3,100 above MSRP. KBB trade-in value on our 2020 is $15,000 more than our net price a year ago (including the tax credits). Insane.

So yeah, a ~$15,000 swing in a year, on a car with an MSRP far below a Model S.
 
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15k is crazy. I guess all this hoop la over taxing the corporations and rich is really mute. It all just gets passed down to the consumer

Companies typically try to pass higher costs/overhead onto consumes as much as possible to keep their margins intact. The question becomes how much of the price increases are "legit" (based on increased costs) and how much are additional profit grabs to take advantage of current environment. If a company's overhead is up 8% they may try to test the waters to see if they can get away with 12% price increases because consumers are expecting higher prices thanks to all of the chatter about higher inflation, higher prices, supply chain issues, etc.

Right now, there's also extra money and pent-up demand chasing less available products which drives up prices. The economy slowed down significantly last year due to COVID and some of the money that would've gone to goods and services last year was never spent and is now available for spending this year on top of money that was to be spent this year.

There are also companies that dumped assets last year to try to stay afloat during the down times and are now having to replenish equipment, fleets, etc. Again, atypical demand chasing less available products.

Finally, you also have all of the additional stimulus and unemployment, child care assistance, rent/mortgage assistance, etc. money that being pumped into the economy.

So many factors in play due to COVID but hopefully things will be able to turn around relatively quickly. Time will tell.
 
To those that traded in towards their new S as prices increased, did your trade-in value rise as well?

If so, would you mind sharing by how much and details such as year, type, mileage?

In my case, 2017 100D. White, FSD, FUSC, no accidents, haven't upgraded MCU or AP yet, out of warranty - battery warranty only.

Tesla offer Oct 2021 23k miles $59K
Tesla offer Feb 2021 17K miles $50K
Carvana offer Feb 2021 17K miles $48K